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Hartz and more: Reducing joblessness through loan employment

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  • Wolfgang Ochel

Abstract

Labour market reform is overdue. In the course of 2002 several fundamental proposals were submitted - from the Ifo Institute, the Hartz Commission and the German Council of Economic Advisers - that suggest using loan employment to provide jobs in the first labour market. In the public debate the proposals of the Hartz Commission received the greatest attention. They include the expansion of commercial loan employment and the creation of personnel-service agencies (PSA). These measures should make a positive contribution to the reduction of unemployment. However, the number of beneficiaries should be limited and the PSA should not be too generously subsidised, to prevent fiscal constraints.

Suggested Citation

  • Wolfgang Ochel, 2003. "Hartz and more: Reducing joblessness through loan employment," ifo Schnelldienst, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 56(01), pages 21-32, January.
    • Handle: RePEc:ces:ifosdt:v:56:y:2003:i:01:p:21-32
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    References listed on IDEAS

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    1. Wolfgang Ochel & Martin Werding, 2002. "And where do the jobs come from? Critical comments on the proposals of the Hartz Commission," ifo Schnelldienst, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 55(15), pages 10-18, August.
    2. Michael Kvasnicka & Axel Werwatz, 2002. "Lohneffekte der Zeitarbeit," DIW Wochenbericht, DIW Berlin, German Institute for Economic Research, vol. 69(49), pages 847-854.
    3. Susan N. Houseman & Arne L. Kalleberg & George A. Erickcek, 2001. "The Role of Temporary Help Employment in Tight Labor Markets," Upjohn Working Papers 01-73, W.E. Upjohn Institute for Employment Research.
    4. Hans-Werner Sinn & Christian Holzner & Wolfgang Meister & Wolfgang Ochel & Martin Werding, 2002. "Active Welfare - A path to higher employment and growth," ifo Schnelldienst, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 55(09), pages 03-52, May.
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    Cited by:

    1. Wolfgang Ochel, 2004. "Competitive Tendering and Contracting of Temporary Work Agencies in Germany," ifo DICE Report, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 2(2), pages 69-74, 07.
    2. Wolfgang Gerstenberger, 2003. "Wirtschafts- und Arbeitsmarktentwicklung Sachsens in der laufenden und den nächsten Dekaden," ifo Dresden berichtet, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 10(05), pages 9-26, June.

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    More about this item

    JEL classification:

    • J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure
    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply
    • J64 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment: Models, Duration, Incidence, and Job Search

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